PHILIPPINE shares edged higher on borrowed momentum from a weekend of peace in Ukraine and bailout talks between Germany and Greece over a potential liquidity injection this month, but closed with pared gains on caution ahead of a holiday later this week.
Trading will be suspended on Thursday to allow Chinese Filipinos to observe the Lunar New Year.
The Philippine Stock Exchange index (PSEi) retested the 7,800-point level, peaking at 7,801.14 intraday, but eased to end at 7,784.65, up 0.14 percent or 11.20 points. The All Shares index finished 0.09 percent or 4.15 points firmer at 4,510.15.
The US markets advanced on Friday—the Dow Jones Industrial Average gained 46.97 points and the S&P 500 added 8.51 points.
“Optimism borrowed from positive closes on both the US and European equities markets on Friday, a step taken closer to a resolution of the crisis in Ukraine—at least a peace accord that took effect over the weekend—and Germany and Greece continuing to talk and thresh out major differences in reference to conditions of the previous bailout and the possibility of a further injection of liquidity before the month ends,” Justino Calaycay of Accord Capital Equities Corp. said, citing the factors that buoyed the local market.
Services dropped 0.20 percent while mining and oil slipped 0.06 percent. The other indices climbed, with financials posting a 0.15 percent gain.
Among the actively traded stocks, only Philippine Long Distance Telephone Company and First Gen Corp. lost. The rest gained, including Megaworld Corp., Universal Robina Corp., Metropolitan Bank and Trust Company, Ayala Land Inc., Vista Land and Lifescapes Inc., SM Investments Corp, Ayala Corp., and Metro Pacific Investments Corp.
Trade volume more than doubled to 2.46 billion shares from Friday’s 1.16 billion, but turnover value was lower at P6.3 billion compared with P8.89 billion previously. Monday’s decliners beat advancers 87 to 86, while 54 issues closed unchanged.
On Friday, the PSEi was higher but stopped short of breaking the all-time high of 7,782.57 recorded on Feb 9, the 10th all-time record reached this year. The bellwether index settled with a gain of 0.76 percent or 58.86 points at 7,773.45, while the All Shares added 0.64 percent or 28.86 points to 4,506.